Entrepreneur’s Guide to Outsourcing to Cut Costs

Entrepreneur’s Guide to Outsourcing to Cut Costs

Advances in modern technology have made it desirable for not only big businesses but also smaller companies to outsource a variety of mundane and skilled tasks. This makes it possible for entrepreneurs to focus on the generation of income and the growth of their businesses. Outsourcing allows you to assemble a talented workforce without the necessity of taking on the burden of the costs of full-time employees. Professionals that offer valuable subcontracted labor to businesses of all sizes include accountants, paralegals, web designers, marketing consultants, and many others. Here is a guide to the basics of using outsourcing to save time and money.

The Best Time to Outsource

Some businesses may benefit from outsourcing right from the start. Others add on contractors when they initiate new projects or realize that rapid growth has made it difficult to handle mundane day-to-day business without assistance.

Tasks to Outsource

Almost any task at any level within a business can potentially be outsourced. For instance, numerous chief financial officers, or CFOs, work as freelancers and can come in periodically to offer financial analyses and suggestions. Information technology specialists can assist you with setting up your online bookkeeping and internal networks. Graphic designers can create company logos and other artwork that reflect your brand image. Virtual or physical receptionists can help you handle communications and customer service. Evaluate your company’s strengths and core values, and consider outsourcing anything tangential to the key services that only you can provide.

Locating Quality Contractors

One of the key methods of locating quality contractors is by word-of-mouth from business associates and other professionals with whom you already work. Other possible sources include professional trade organizations, online networks such as LinkedIn, and online sites that function as virtual marketplaces for contractor services.

Working With Contractors

Before committing to working with contractors, check their references, and draw up contracts that specify exactly what tasks you expect them to perform. Establish clear communications so that you can express your detailed instructions. Once your new team is in place, step back, and let them do their jobs. Consider delegating the management of your contractors to a trusted employee so you remain free to run your company.